1. Agricultural Credit Guarantee Scheme Fund (ACGSF) | All applications for loan guarantee under the Scheme shall be made on the form prescribed for the purpose; The ACGS application form should be completed by the ...
How to Apply:
- All applications for loan guarantee under the Scheme shall be made
on the form prescribed for the purpose
- The ACGS application form should be completed by the beneficiary;
Application forms shall be signed and stamped by the lending bank
concerned and forwarded to the nearest office of the Central Bank in
the State in which the bank is situated or as may be otherwise
directed.
- Agricultural enterprises guaranteed under the Fund must be
mapped/tagged and the cost borne by the customer.
- All loan applications should be subject to Credit Bureau and Credit
Risk Management System (CRMS) checks by the lending bank.
- The Development Finance Office in the State will conduct visits to
the project sites and attach reports (including pictures and video
clips) and submit same to the DFD Head Office.
- All applications for ACGSF guarantee should be submitted to CBN by
the lending bank not later than 30 days after receipt of application
from beneficiary
- All lending banks are expected to carry out all necessary credit
reviews and due diligence in good faith as well as competence, with
which they would treat all applications for loans received in the
normal course of their banking business
Eligible participating financial institutions under the scheme:
- Deposit Money Banks
- Microfinance banks under the regulatory and supervisory role of the
Central Bank of Nigeria (CBN)
Eligible participating Stakeholders under the scheme:
- Small Holders Farmers (SHF) across the Agricultural value chain
- Medium Scale Farmers and Agro Processors within the Agricultural
value chain.2. Frequently Asked Questions (FAQs) - Central Bank of Nigeria | A farmer intending to obtain a loan must first open account with a bank operating the Agric Credit Guarantee Scheme. You should request for the ACGS application ...
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+-----------------------------------+-----------------------------------+
| How easy is it to benefit from | |
| agric credit? | |
+-----------------------------------+-----------------------------------+
| | You will need to discuss your |
| | proposal with your bank, complete |
| | necessary application forms, and |
| | provide all the required |
| | information including things like |
| | size of your farm, project cost, |
| | your own financial commitment, |
| | expected output returns and |
| | profitability of the project. |
| | |
| | |
| | ------------------------------- |
+-----------------------------------+-----------------------------------+
| How long can one’s ACGSF loan | |
| last? | |
+-----------------------------------+-----------------------------------+
| | It depends on the gestation |
| | period of the agricultural |
| | activity you are engaged in. |
| | |
| | |
| | ------------------------------- |
+-----------------------------------+-----------------------------------+
| How many times can I benefit from | |
| ACGS? | |
+-----------------------------------+-----------------------------------+
| | As many times as you wish |
| | provided you maintain good track |
| | record repayment record with your |
| | bank |
| | |
| | |
| | ------------------------------- |
+-----------------------------------+-----------------------------------+
| How many times can I benefit from | |
| ACGSF?
3. [PDF] guidelines for the agricultural credit guarantee scheme | Application for guarantee under the Scheme should be made by banks to the Fund on Form ACGSF/1. Every application should be numbered and completed in triplicate ...
23.
Where a bank granted a loan to a farmer which was guaranteed
by the Fund and it resulted in claims being paid by the Fund, such a
bank should not grant that borrower any fresh loan under the
Scheme without prior clearance from the Fund.
Application for guarantee
24.
Application for guarantee under the Scheme should be made by
banks to the Fund on Form ACGSF/1. Every application should be
numbered and completed in triplicate. Two copies of the form
should be forwarded to the Controller of the Central Bank branch or
Currency Officer of the Central Bank currency centre in the State in
which the bank applying for guarantee is located or as may
otherwise be directed, not later than two weeks after the loan has
been granted.
Issue of Guarantee Certificate
25.
One of the conditions for a guarantee under the Scheme is that the
Fund will have the right to inspect the books and accounts of the
bank in respect of the guaranteed loan and that the bank will
secure for the Fund by obtaining suitable undertaking from the
borrower, the right to inspect the establishment in respect of which
the loan has been granted and to call for or examine all details of
the guaranteed account, if considered necessary by the Fund.
26.
When the Fund receives an application for guarantee from a bank,
it will issue a certificate in the prescribed form (Form ACGSF/2 to the
bank. The Fund shall not be required to sign any other document in
this respect.
Enhancement/reduction of guaranteed credit facility
27.
4. [PDF] Agricultural Credit Guarantee Scheme Fund - Central Bank of Nigeria | precedent to guarantee. Application process for loans to qualify for ACGSF guarantee ... of the Fund's guarantee liability will apply to the total loan granted.
(i)
Letter of indemnity from employer for those in paid
employment signed by authorized signatories
(j)
For loans of N100,000.00 (One hundred thousand naira) and
below, banks are not expected to demand tangible
securities and feasibility reports; however, there should be
cross guarantee among members in a group or cooperative,
and any other guarantee that may be acceptable to the
bank.
Insurance
7.
All loans under the scheme must be insured as a condition
precedent to guarantee.
Application process for loans to qualify for ACGSF guarantee
8.
All applications to lending banks for loans under the Scheme shall
be made on the form prescribed for the purpose
9.
Individual account must be opened for each beneficiary under the
scheme by the lending bank. For co-operative or group loan,
accounts must be opened for purpose of lending under the
scheme
10.
Please note that individual loans must be differentiated from group
loan account.
11.
The ACGSF application form should be completed by the
beneficiary; Application forms shall be signed and stamped by the
lending bank concerned and forwarded to the nearest office of the
Central Bank in the State in which the bank is situated or as may be
otherwise directed.
12.
Agricultural enterprises guaranteed under the Fund must be
mapped/tagged and the cost borne by the customer.
13.
All loan applications should be subject to Credit Bureau and Credit
Risk Management System (CRMS) checks by the lending bank.
14.
The Development Finance Office in the State will conduct visits to
the project sites and attach reports (including pictures and video
clips) and submit same to the DFD Head Office.
15.
All applications for ACGSF guarantee should be submitted to CBN
by the lending bank not later than 30 days after receipt of
application from beneficiary.
4
This document is for CBN internal consumption
16.
[1] https://www.cbn.gov.ng/DFD/agriculture/acgsf.asp
[2] https://www.cbn.gov.ng/FAQS/FAQ.asp?category=Agric.+Cr.+Guarantee+Scheme+Fund+ACGSF
[3] https://www.cbn.gov.ng/out/Publications/guidelines/dfd/1990/guidelines-acgsf.pdf#page=6
[4] https://www.cbn.gov.ng/out/2021/ccd/acgsf%20guidelines%20approved%20%20march%202021.pdf#page=5